Top Chinese developer Country Garden’s core profit jumps 106pc as sales soar
Analysts expect Country’s Garden’s focus on smaller cities to deliver solid growth over the next three years
Country Garden Holdings, China’s largest developer by sales, on Tuesday reported a 106 per cent increase in core net profit for 2017 on the back of a 78.3 per cent jump in contracted sales, with analysts expecting the company to benefit from its focus on smaller cities.
Core net profit, which excludes valuation gains and foreign exchange losses, jumped to 24.69 billion yuan, the company said in a filing to the Hong Kong stock exchange.
Net profit jumped 126.3 per cent to 26.06 billion yuan in 2017, from 11.52 billion yuan a year earlier, while total revenue grew 48.2 per cent to 226.9 billion yuan.
The Guangdong-based developer recorded contracted sales of 550.8 billion yuan (US$87 billion) in 2017, up from 308.8 billion yuan a year earlier.
Currently, it has a total of 1,468 projects covering 220 cities and 30 provinces in China.